Provides that the additional sales tax that Cortland county is authorized to impose shall not be subject to preemption

2025 Regular Session Introduced by Lea Webb

Cortland County would gain sole, non-preemptible authority to impose its additional 1% sales tax, counted separately from the maximum 3% rate.

1ST REPORT CAL.1137

Summary of Bill S 10266 (2025-2026) – New York

Purpose and intent

This bill seeks to change how Cortland County’s additional sales and compensating use tax is treated in relation to state-wide preemption rules.

Specifically, it designates Cortland County as having sole authority to impose its authorized additional one-percent rate, and states that this rate is not subject to state preemption.

Key provisions and changes

Section 1 and Section 2 (amendments to tax law, section 1210)

The text clarifies how the overall maximum sales tax rate is calculated by excluding certain local additional rates, including Cortland County’s.
Cortland County is added to the list of jurisdictions for which the “additional one percent” rate is addressed in the same manner as other counties and cities that have authorized additional rates.
The amendments adjust the enumerated list of counties/cities and their respective rates used to compute the maximum permissible rate under section 1224, ensuring Cortland’s rate is treated consistently with other jurisdictions that have authorized additional local rates.

New provision adding Section 1224(kk)

Section 1224 is amended to add a new subdivision (kk) which grants Cortland County:
The sole right to impose its authorized additional one-percent rate.
This rate is in addition to any other taxes Cortland may impose under the Tax Law or other laws.
Crucially, this additional rate shall not be subject to preemption by higher levels of government or state authorities.
The overall maximum three-percent rate referenced in section 1224 is to be calculated without counting Cortland’s new one-percent rate.

Effective date

The act takes effect immediately.
However, the amendments to subparagraph (iii) of the opening paragraph of section 1210 are subject to the expiration and reversion provisions tied to Chapter 67, Laws of 2015, with the changes in section two taking effect upon that reversion date.

Who and what is affected

Affected entity: Cortland County.

Impacted tax structure: The county’s additional one-percent sales/compensating use tax rate would be designated as non-preemptible and under Cortland’s sole authority to impose, independent of preemption concerns.

Fiscal/operational impact: Cortland County would have definitive control over its own additional tax rate, potentially affecting businesses and consumers within the county who pay the local sales tax.

Procedural and timeline notes

Introduced in the Senate on May 11, 2026.

Referred to the Investigations and Government Operations Committee.

First reading completed; bill has a sponsor (Senator Lea Webb) and a co-sponsor.

Immediate effective date upon enactment means changes would apply as soon as the law takes effect, with some provisions tied to prior expiration/reversion mechanisms.

Practical implications

Converts Cortland County’s additional one-percent tax into a non-preemptible local rate, reinforcing county-level autonomy over its sales tax policy.

The bill does not alter Cortland’s base tax structure aside from clarifying that its additional rate stands outside preemption and is counted separately when determining the overall maximum sales tax rate.